The american public—still smarting from a year of turmoil on the labor-management front that caused several transport crises, killed a major city newspaper, shut down schools and hospitals in various communities and contributed to mounting inflationary pressures—faces a great deal more of the same during the 15 months ahead. Next year more than two million workers will be involved in contract negotiations between unions and employers of 5,000 or more persons—twice the number involved in major negotiations in 1966. Among unions which will launch contract talks before the end of 1967 are telephone workers, regional construction unions, all major rail unions, the Teamsters, auto workers in car, truck and farm machinery plants, rubber industry workers, and garment workers. The year 1967 will end where 1966 began, with expiration of the contract between the New York City Transit Authority and the subway workers of the metropolis.

National concern focuses on two aspects of the labor picture. First, the settlements obtained by labor unions during the current year have gone well beyond what the government's economic advisers consider reasonable. If the trend continues—and all observers believe it will—rising labor costs will feed the already worrisome inflation. Second, the 43-day tie-up of five major airlines by striking mechanics—and the union members' refusal to accept the first settlement agreed to by their leaders—revealed clearly how vulnerable the American economy is to strikes in certain vital areas.

Rising Losses from Work Stoppages Since 1963

Unrest on the labor front began in the last four months of 1964, following four years of relatively smooth relations between workers and business and industry. The lack of strife was most marked in 1963, when nearly every official measure of work stoppages set a postwar low. For the only time since 1945, fewer than a million workers were involved in strikes during the year. Furthermore, there were only seven major strikes—those involving 10,000 or more workers.